Digital instant issuance with instant processing

ABSTRACT

An entity may generate digital account credentials when a new account is approved for generation by an authorizing entity that controls or issues new accounts. A user may contact an authorizing entity to open a new account with the authorizing entity. The authorizing entity may authenticate the user and may approve a new account to be generated for the user. The user may wish to conduct transactions immediately upon approval. However, the authorizing entity may not immediately generate a physical identification device along with an actual account identifier associated with the new account. An intermediary entity may generate digital account credentials for the new account immediately after the authorizing entity approves generation of the new account, provide the digital account credentials to the account holder, and process transactions using the digital account credentials.

BACKGROUND OF THE INVENTION

Conventionally, when an authorizing entity issues a new account for auser, the user does not have the ability to conduct transactions usingthe new account immediately upon issuance. Specifically, the user (i.e.the account holder) needs to first obtain a physical account identifyingdevice and/or a permanent actual account identifier and confirm receiptof the physical account identifying device before being able to use theaccount. Once user confirms the receipt of the physical accountidentifying device, the authorizing entity then will mark the account asactive (i.e. ready to transact). The authorizing entities currently donot immediately issue physical account identifying devices and/orpermanent actual account identifiers or do not mark the account asactive before user validates receipt of the physical account device uponapproving new accounts. Without the user validation of the physicalaccount device, the user cannot immediately transact.

Embodiments of the invention address these and other problemsindividually and collectively.

BRIEF SUMMARY OF THE INVENTION

Embodiments of the invention are directed to more effective andefficient ways to generate account credentials. Embodiments enable anentity (e.g. a digital credential issuing server computer) toimmediately generate an active digital account credential andimmediately available to process user transactions using the digitalaccount credential when a new account is approved for generation by anauthorizing entity that controls or issues new accounts. A user maycontact an authorizing entity to open a new account with the authorizingentity. The authorizing entity may approve a new account to beissued/generated for the user. The user (now an account holder) may wishto conduct transactions (e.g. make a purchase, load credit to atransportation account, access to a database, access a physical buildingusing an employee ID number) immediately upon approval. However, theauthorizing entity may not immediately generate a physicalidentification device along with an actual, permanent account identifierassociated with the new account, or the authorizing entity may notimmediately mark the account as active (i.e. ready to transact) beforethe user validates or confirm receipt of the physical identificationdevice. To allow user to immediately transact, an intermediary entity,such as a digital credential issuing server computer, will generate andactivate a digital account credential for the new account immediatelyafter the authorizing entity approves generation of the new account,provide the digital account credential to the account holder, andprocess transactions using the digital account credential.

Embodiments provide a method where a server computer receivesinformation about a new account authorized for generation from anauthorizing entity computer. The server computer generates a digitalaccount credential identifying the new account and transmits the digitalaccount credential to user device of an account holder of the newaccount. The server computer receives a transaction authorizationrequest message for a transaction initiated using the digital accountcredential, and determines that the transaction using the digitalaccount credential is authorized or denied. The server computergenerates an authorization decision response message includingdetermination that the transaction using the digital account credentialis authorized or denied. The server computer then transmits atransaction advice message to the authorizing entity computer includingthe determination that the transaction using the digital accountcredential is authorized or denied.

In some embodiments, the digital account credential automaticallyexpires, based on a pre-determined time period, upon activation of anactual account credential linked to a physical account identificationdevice associated with the new account. In other embodiments, the servercomputer may receive, from the authorizing entity computer, notificationregarding activation of an actual account credential linked to aphysical account identification device associated with the new account.The server computer may then deactivate the digital account credential.In yet other embodiments, the server computer may deactivate the digitalaccount credential after a predetermined amount of time. According tosome embodiments, the server computer may limit use of the digitalaccount credential by a predetermined criteria after a predeterminedamount of time.

In some embodiments, the server computer may generate a token associatedwith and representing the digital account credential, wherein the tokenis provisioned on an electronic wallet of the account holder. The servercomputer may receive notification regarding activation of an actualaccount credential linked to a physical account identification deviceassociated with the new account. The server computer may deactivate thedigital account credential, and update the token with the actual accountcredential.

In some embodiments, upon receiving the transaction request message andprior to determining that the transaction is authorized or denied, theserver computer may request account status information and/or accountbalance information associated with the new account from the authorizingentity computer, and receive the account status information and/oraccount balance information associated with the new account from theauthorizing entity computer. The server computer may determine that thetransaction using the digital account credential is authorized or deniedbased on the account status information and/or the account balanceinformation received from the authorizing entity computer.

In some embodiments, the information about the new account includes oneor more restrictions associated with the new account. The servercomputer determines that the transaction using the digital accountcredential is authorized or denied based on the one or more restrictionsassociated with the new account.

In some embodiments, the server computer may transmit the authorizationdecision response message to a transaction processing server. Thetransaction processing server may be configured to generate atransaction authorization response message including determination thatthe transaction using the digital account credential is authorized ordenied, and transmit the transaction authorization response message to aresource provider. The account holder conducts the transaction with theresource provider.

Another embodiment of the invention is directed to a computer programmedto perform the above-noted method.

Further details regarding embodiments of the invention can be found inthe Detailed Description and the Figures.

BRIEF DESCRIPTION OF THE DRAWINGS

FIG. 1 shows a block diagram of a system according to an embodiment ofthe invention. The system can be used to generate and activate, by aserver computer, digital account credential(s) immediately upon approvalof a new account for generation by an authorizing entity computer.

FIG. 2 shows a block diagram of a server computer according to anembodiment of the invention. The system can be used to generate digitalaccount credential(s) immediately upon approval of a new account forgeneration by an authorizing entity computer.

FIG. 3A shows an exemplary flow chart for digital account credentialissuance according to an embodiment of the invention.

FIG. 3B shows exemplary steps performed by the authorizing entitycomputer, the server computer and the user device during digital accountcredential issuance and activation according to embodiments of theinvention.

FIG. 4A shows an exemplary flow chart for transaction processing usingthe digital account credentials according to embodiments of theinvention.

FIG. 4B shows exemplary steps performed by the authorizing entitycomputer, the server computer and the transaction processing serverduring transaction processing using the digital account credentialsaccording to embodiments of the invention.

FIG. 5A shows an exemplary flow chart for transaction processing usingthe digital account credentials for an account with restrictionsaccording to embodiments of the invention.

FIG. 5B shows exemplary steps performed by the authorizing entitycomputer, the server computer and the transaction processing serverduring transaction processing using the digital account credentials foran account with restrictions according to embodiments of the invention.

FIG. 6A shows an exemplary flow chart when actual account identifier isactivated associated with the physical device account and the associateddigital account deactivation and token account update according toembodiments of the invention.

FIG. 6B shows exemplary steps performed by the authorizing entitycomputer, the server computer and the transaction processing serverduring activation of the actual account identifier associated with thephysical device account and the associated digital account deactivationand token account update according to embodiments of the invention.

DETAILED DESCRIPTION OF THE INVENTION

Embodiments enable an entity (e.g. a digital credential issuing servercomputer) to generate digital account credential (e.g. a digital accountidentifier) when a new account is approved by an authorizing entity thatcontrols or issues new accounts. A user may contact the authorizingentity to open a new account with the authorizing entity. The accountmay be a transaction account (e.g. a financial account, a transportationsystem account), an employment account, an access account (e.g. adigital access account such as a database access account), etc. Theauthorizing entity may authenticate the user upon receivingidentification and verification data from the user, and may approve anew account to be generated for the user. The user (now an accountholder) may wish to conduct transactions (e.g. make a purchase, loadcredit to a transportation account, access to a database) immediatelyupon approval. However, the authorizing entity may not immediatelygenerate a physical identification device along with an actual,permanent account identifier associated with the new account. Anintermediary entity, such as a digital credential issuing servercomputer, may generate a temporary digital account credential (e.g. adigital account identifier, a verification value, etc.) for the newaccount immediately after the authorizing entity approves generation ofthe new account, provide the digital account credential to the accountholder, validates the account holder and process transactions using thedigital account credential.

According to various embodiments, the digital account credential may bevalid only for a predetermined amount of time (i.e. until the user(account holder) activates the physical identification device and/or theactual account identifier associated with the new account). The digitalaccount credential may be automatically deactivated upon activation ofthe physical identification device and/or the actual (i.e. permanent)account identifier. Accordingly, the intermediary entity may onlyprocess transactions using the new account (initiated using the digitalaccount credential) for the period starting from the authorizing entityapproving the new account for generation until the user activates thephysical identification device and/or the actual account identifierassociated with the new account.

Embodiments allow the user to transact immediately and digitally whenthe account application has been approved instead of the user waiting toreceive the physical account identification device (e.g. anidentification card, a credit card, a debit card, etc.) before beingable to transact using the new account.

Prior to discussing specific embodiments of the invention, some termsmay be described in detail.

A “user device” may comprise any suitable electronic device that mayhave remote communication capabilities. Examples of remote communicationcapabilities include using a mobile phone (wireless) network, wirelessdata network (e.g. 3G, 4G or similar networks), Wi-Fi, Wi-Max, or anyother communication medium that may provide access to a network such asthe Internet or a private network. Examples of user devices includemobile phones (e.g. cellular phones), PDAs, tablet computers, net books,laptop computers, personal music players, hand-held specialized readers,etc. Further examples of user devices include wearable devices, such assmart watches, fitness bands, ankle bracelets, rings, earrings, etc., aswell as automobiles with remote communication capabilities. A userdevice may comprise any suitable hardware and software for performingsuch functions, and may also include multiple devices or components(e.g. when a device has remote access to a network by tethering toanother device—i.e. using the other device as a modem—both devices takentogether may be considered a single mobile device).

A “payment device” may be any suitable device that may be used toconduct a financial transaction, such as to provide payment credentialsto a merchant. The payment device may be a software object, a hardwareobject, or a physical object. As examples of physical objects, thepayment device may comprise a substrate such as a paper or plastic card,and information that is printed, embossed, encoded, or otherwiseincluded at or near a surface of an object. A payment device may be usedto make a payment transaction. Suitable payment devices can be hand-heldand compact so that they can fit into a user's wallet and/or pocket(e.g., pocket-sized). Example payment devices may include smart cards,magnetic stripe cards, keychain devices (such as the Speedpass™commercially available from Exxon-Mobil Corp.), etc. Other examples ofpayment devices include pagers, payment cards, security cards, accesscards, smart media, transponders, and the like. If the payment device isin the form of a debit, credit, or smartcard, the payment device mayalso optionally have features such as magnetic stripes. Such devices canoperate in either a contact or contactless mode. In some embodiments, auser device can function as a payment device (e.g., a user device canstore and be able to transmit payment credentials for a transaction).

A “credential” may be any suitable information that serves as reliableevidence of worth, ownership, identity, or authority. A credential maybe a string of numbers, letters, or any other suitable characters, aswell as any object or document that can serve as confirmation of a factin question. Examples of credentials include value credentials,identification cards, certified documents, access cards, passcodes andother login information, payment credentials, etc.

“Payment credentials” may include any suitable information associatedwith an account (e.g., a payment account and/or payment deviceassociated with the account). Such information may be directly relatedto the account or may be derived from information related to theaccount. Examples of account information may include a PAN (primaryaccount number or “account number”), a payment token, a user name,expiration date, CVV (card verification value), dCW (dynamic cardverification value), CVV2 (card verification value 2), dCVV2 (dynamiccard verification value 2), CVC3 card verification values, etc.

A “token” may be a substitute value for a credential. A token may be astring of numbers, letters, or any other suitable characters. Examplesof tokens include payment tokens, access tokens, personal identificationtokens, etc.

A “payment token” may include an identifier for a payment account thatis a substitute for an account identifier, such as a primary accountnumber (PAN). For example, a payment token may include a series ofalphanumeric characters that may be used as a substitute for an originalaccount identifier. For example, a token “4900 0000 0000 0001” may beused in place of a PAN “4147 0900 0000 1234.” In some embodiments, apayment token may be “format preserving” and may have a numeric formatthat conforms to the account identifiers used in existing transactionprocessing networks (e.g., ISO 8583 financial transaction messageformat). In some embodiments, a payment token may be used in place of aPAN to initiate, authorize, settle or resolve a payment transaction orrepresent the original credential in other systems where the originalcredential would typically be provided. In some embodiments, a paymenttoken may be generated such that the recovery of the original PAN orother account identifier from the token value may not be computationallyderived. Further, in some embodiments, the token format may beconfigured to allow the entity receiving the token to identify it as atoken and recognize the entity that issued the token.

“Tokenization” is a process by which data is replaced with substitutedata. For example, a payment account identifier (e.g., a primary accountnumber (PAN)) may be tokenized by replacing the primary accountidentifier with a substitute number (e.g. a token) that may beassociated with the payment account identifier. Further, tokenizationmay be applied to any other information that may be replaced with asubstitute value (i.e., token). Tokenization enhances transactionefficiency and security.

A “token issuer,” “token provider” or “token service system” can includea system that services tokens. In some embodiments, a token servicesystem can facilitate requesting, determining (e.g., generating) and/orissuing tokens, as well as maintaining an established mapping of tokensto primary account numbers (PANs) in a repository (e.g., token vault).In some embodiments, the token service system may establish a tokenassurance level for a given token to indicate the confidence level ofthe token to PAN binding. The token service system may include or be incommunication with a token vault where the generated tokens are stored.The token service system may support token processing of paymenttransactions submitted using tokens by de-tokenizing the tokens toobtain the actual PANs. In some embodiments, a token service system mayinclude a tokenization computer alone, or in combination with othercomputers such as a transaction processing network computer (referredalso as a transaction processing server). Various entities of atokenization ecosystem may assume the roles of the token serviceprovider. For example, payment networks and issuers or their agents maybecome the token service provider by implementing the token servicesaccording to embodiments of the present invention.

An “application” may be computer code or other data stored on a computerreadable medium (e.g. memory element or secure element) that may beexecutable by a processor to complete a task.

A “user” may include an individual. In some embodiments, a user may beassociated with one or more personal accounts and/or mobile devices. Theuser may also be referred to as a cardholder, account holder, orconsumer.

A “resource provider” may be an entity that can provide resources suchas goods, services, information, and/or access. Examples of resourceproviders include merchants, data providers, governmental agencies,transit agencies, etc. A “merchant” may typically be an entity thatengages in transactions and can sell goods or services, or provideaccess to goods or services.

An “acquirer” may typically be a business entity (e.g., a commercialbank) that has a business relationship with a particular merchant orother entity. Some entities can perform both issuer and acquirerfunctions. Some embodiments may encompass such single entityissuer-acquirers. An acquirer may operate an acquirer computer, whichcan also be generically referred to as a “transport computer.”

An “authorizing entity” may be an entity that authorizes a request.Examples of an authorizing entity may include an issuer, a governmentalagency, a document repository, an access administrator, etc. An “issuer”may typically refer to a business entity (e.g., a bank) that maintainsan account for a user. An issuer may also issue payment credentialsstored on a user device, such as a cellular telephone, smart card,tablet, or laptop to the consumer.

An “authorization request message” may be an electronic message thatrequests authorization for a transaction. In some embodiments, it issent to a transaction processing computer and/or an issuer of a paymentcard to request authorization for a transaction. An authorizationrequest message according to some embodiments may comply with ISO 8583,which is a standard for systems that exchange electronic transactioninformation associated with a payment made by a user using a paymentdevice or payment account. The authorization request message may includean issuer account identifier that may be associated with a paymentdevice or payment account. An authorization request message may alsocomprise additional data elements corresponding to “identificationinformation” including, by way of example only: a service code, a CVV(card verification value), a dCW (dynamic card verification value), aPAN (primary account number or “account number”), a payment token, auser name, an expiration date, etc. An authorization request message mayalso comprise “transaction information,” such as any informationassociated with a current transaction, such as the transaction amount,merchant identifier, merchant location, acquirer bank identificationnumber (BIN), card acceptor ID, information identifying items beingpurchased, etc., as well as any other information that may be utilizedin determining whether to identify and/or authorize a transaction.

An “authorization response message” may be a message that responds to anauthorization request. In some cases, it may be an electronic messagereply to an authorization request message generated by an issuingfinancial institution or a transaction processing computer. Theauthorization response message may include, by way of example only, oneor more of the following status indicators: Approval—transaction wasapproved; Decline—transaction was not approved; or Call Center—responsepending more information, merchant must call the toll-free authorizationphone number. The authorization response message may also include anauthorization code, which may be a code that a credit card issuing bankreturns in response to an authorization request message in an electronicmessage (either directly or through the transaction processing computer)to the merchant's access device (e.g. POS equipment) that indicatesapproval of the transaction. The code may serve as proof ofauthorization.

A “server computer” may include a powerful computer or cluster ofcomputers. For example, the server computer can be a large mainframe, aminicomputer cluster, or a group of servers functioning as a unit. Inone example, the server computer may be a database server coupled to aWeb server. The server computer may be coupled to a database and mayinclude any hardware, software, other logic, or combination of thepreceding for servicing the requests from one or more client computers.The server computer may comprise one or more computational apparatusesand may use any of a variety of computing structures, arrangements, andcompilations for servicing the requests from one or more clientcomputers.

FIG. 1 shows a system 100 comprising a number of components for issuingdigital account credentials and processing transactions using digitalaccount credentials. The system 100 comprises a user device 120, whichmay be associated with a user (e.g. account holder) 110. The user device120 may be in communication with an authorizing entity computer 160 viaa communications network 180.

The system 100 may also include a resource provider computer 170, atransport computer 140, a transaction processing computer 150, and aserver computer (e.g. digital credential issuing server computer) 190.The user device 120, the authorizing entity computer 160, the transportcomputer 140, the resource provider computer 170, the transactionprocessing computer 150 and/or the server computer 190 may all be inoperative communication with each other through any suitablecommunication channel or communications network.

Suitable communications networks may be any one and/or the combinationof the following: a direct interconnection; the Internet; a Local AreaNetwork (LAN); a Metropolitan Area Network (MAN); an Operating Missionsas Nodes on the Internet (OMNI); a secured custom connection; a WideArea Network (WAN); a wireless network (e.g., employing protocols suchas, but not limited to a Wireless Application Protocol (WAP), I-mode,and/or the like); and/or the like. Messages between the computers,networks, and devices may be transmitted using a secure communicationsprotocols such as, but not limited to, File Transfer Protocol (FTP);HyperText Transfer Protocol (HTTP); Secure Hypertext Transfer Protocol(HTTPS), Secure Socket Layer (SSL), ISO (e.g., ISO 8583) and/or thelike.

The user 110 may use the user device 120 to contact the authorizingentity computer 160 via the communications network 180 to obtain/open anew account with the authorizing entity computer 160. In someembodiments, the user 110 may contact the authorizing entity computer160 in person to obtain the new account. The authorizing entity computer160 may authenticate the user 110 upon receiving authenticationinformation from the user 110. Upon authentication, the authorizingentity computer 160 may authorize the new account to be generated forthe user 110. However, the authorizing entity computer 160 may not beable to issue a permanent, actual account credential and/or a physicalaccount identification device to the user 110 right away.

According to the embodiments, the authorizing entity computer 160 maycontact the server computer 190 and notify the server computer 190 ofthe new account being approved for generation for the user 110. Theserver computer 190 may generate a digital account credential for thenew account, and may transmit the digital account credential for the newaccount to the user 110 or to the user device 120 of the user 110. Insome embodiments, the server computer 190 may receive a request toverify that the user device is associated with the truthful accountholder of the new account prior to transmitting the digital accountcredentials or prior to approving transactions performed with the userdevice. The user 110 may conduct transactions using the new account bypresenting the digital account credential to the resource providers.

According to various embodiments, the user 110 may use the user device120 to conduct transactions with a resource provider associated with theresource provider computer 170. For example, the user 110 may presentthe digital account credential provided by the server computer 190.Accordingly, the user 110 may use the newly generated account to conductan immediate transaction with the resource provider 170 upon generationof the new account. Authorization request messages for the transactionsinitiated using the digital account credential submitted by the resourceprovider computer 170 may be sent to the transport computer 140 (whichmay be an acquirer computer associated with an acquirer). The transportcomputer 140 may be associated with the resource provider computer 170,and may manage authorization requests and manage an account on behalf ofthe resource provider associated with the resource provider computer170.

As shown in FIG. 1, the transaction processing computer 150 may bedisposed between the transport computer 140 and the authorizing entitycomputer 160. The transaction processing computer 150 may include dataprocessing subsystems, networks, and operations used to support anddeliver authorization services, exception file services, and clearingand settlement services. For example, the transaction processingcomputer 150 may comprise a server coupled to a network interface (e.g.,by an external communication interface), and databases of information.The transaction processing computer 150 may be representative of atransaction processing network. An exemplary transaction processingnetwork may include VisaNet™ or VISA Micro Processing Server (VMS).Transaction processing networks such as VisaNet™ or VMS are able toprocess credit card transactions, debit card transactions, and othertypes of commercial transactions. VisaNet™, in particular, includes aVIP system (Visa Integrated Payments system) which processesauthorization requests and a Base II system which performs clearing andsettlement services. The transaction processing computer 150 may use anysuitable wired or wireless network, including the Internet.

When the transaction processing computer 150 receives an authorizationrequest for a transaction initiated using the digital accountcredential, the transaction processing computer 150 may transmit therequest to the server processor 190 for processing. According to variousembodiments, the transaction processing computer 150 may identify thetransaction as being initiated with the digital account credential basedon a predetermined format of the digital account credential, asexplained below.

Prior to the authorizing entity computer 160 generating the actualaccount credential and/or the physical account identification deviceassociated with the newly generated account, the server computer 190 maydetermine whether transactions initiated using the digital accountcredential (issued by the server computer 190) are authorized ordeclined. According to some embodiments, before authorizing atransaction, the server computer 190 may request status information forthe new account from the authorizing entity computer 160. In otherembodiments, the server computer 190 may authorize a transaction withoutcommunicating with the authorizing entity computer 160.

In some embodiments, the server computer 190 may also tokenize thedigital account credential. That is, the server computer 190 maygenerate a token corresponding to the digital account credential andrepresenting the new account. In some embodiments, the server computer190 may interact with a token service system to generate the token andto store the correspondence between the token and the digital accountcredential and/or the new account. If the server computer 190 receives atransaction authorization request that includes a token, the servercomputer 190 may be able to de-tokenize the token in order to obtain theassociated digital account credentials.

An example of the server computer 190, according to some embodiments ofthe invention, is shown in FIG. 2. The server computer 190 comprises aprocessor 190A, a network interface 190B, a credential database 190C,and a computer readable medium 190D. The computer readable medium 190Dmay comprise a transaction processing module 190E, a credentialdetermination module 190F, and any other suitable software module.

The credential determination module 190F may comprise code that causesthe processor 190A to determine an appropriate credential, such as thedigital account credential (e.g. digital account credential (e.g. adigital account identifier, a verification value, etc.) for the newaccount, using any suitable algorithm. The generated digital accountcredential may be stored at the credential database 190C.

According to various embodiments, the credential determination module190F may determine the digital account credential according to apredetermined criteria (e.g.

a predetermined format, or a predetermined sequence of symbolsincluding, for example, an authorizing entity identification number, atransaction processing entity identification number, etc.). Thepredetermined criteria or the format of the digital account credentialmay help the transaction processing module 190E to identify atransaction as a transaction initiated with a digital account credentialand, as such, a transaction that should be processed by the transactionprocessing module 190E.

The transaction processing module 190E may comprise code that causes theprocessor 190A to process transactions initiated using the digitalaccount identifier. For example, the transaction processing module 190Emay receive a transaction authorization request message via the networkinterface 1908 for a transaction initiated by the user 110 at theresource provide computer 170. The transaction processing module 190Emay contain logic that causes the processor 190A to determine if thetransaction is initiated using the digital account identifier generatedby the credential determination module 190F of the transactionprocessing computer 190. If the transaction is initiated using thedigital account credential, the transaction processing module 190E maycontain logic that causes the processor 190A to determine whether thetransaction should be approved or declined, during the period after thenew account has been approved for generation by the authoring entitycomputer 160 and prior to the actual account credential and/or thephysical account identification device associated with the new accountis activated by the user 110.

According to various embodiments, the transaction processing module 190Emay generate a transaction processing advice in connection with a giventransaction, and transmit the transaction processing advice to theauthorizing entity computer 160, as explained in greater detail below.

FIG. 3A illustrates an exemplary flow chart 300 for digital accountcredential issuance. The user may apply for a new account at anauthorizing entity computer (S302). The authorizing entity computer mayauthenticate user using various methods and create a new account for theuser. The authorizing entity computer may then notify the servercomputer (e.g. digital credential issuing server computer) about the newaccount and request the server computer to issue digital accountcredential (e.g. a digital account identifier, a verification value,etc.) for immediate use of the new account (S304). According to variousembodiments, the authorizing entity computer may transmit informationabout the user (e.g. name, address, mobile phone number, set of securityquestions/answers (for cardholder validation as used by the authorizingentity computer)) to the server computer.

In some embodiments, the account may be a financial account (e.g. acredit account, a debit account, a prepaid account). In case of a creditaccount, the authorizing entity computer may also transmit to the servercomputer the credit limit assigned to the new account. In addition, forcredit accounts, existing account number prefixes may be used ingeneration of digital account credentials. In case of a debit account,the authorizing entity computer may transmit to the server computer aninitial balance or authorization limit assigned to the user. Inaddition, for debit accounts, new account number prefixes need to beused to generate the digital account credentials.

In some embodiments, the authorizing entity may limit the use of theaccount according to a predetermined criteria. The authorizing entitymay also share the restrictions imposed on the new account with theserver computer. For example, if the account is a financial account, theauthorizing entity may not allow a certain type of transactions (e.g.ATM transactions) and may instruct the server computer not to authorizethe same type of transactions using the digital account credentials.According to some embodiments, the server computer may limit the allowedusage of the digital account credentials. For example, the servercomputer may accept or decline transactions based on point-of-entry modeof the transaction such as ATM transactions, electronic commercetransactions, or digital wallet initiated transactions.

Referring back to FIG. 3A, the server computer may generate the digitalaccount credentials and notify the user of the digital accountcredential issuance (S306). According the some embodiments, the user maythen have to authenticate himself/herself to activate the digitalaccount credential. For example, according to optional step S308, theuser may visit a user interface provided by the server computer andenter identifying information as required by the server computer.According to step S310, the server computer may then authenticate theuser based on the identifying information and activate the digitalaccount credentials. In some embodiments, the user may add the digitalaccount credentials for the new account to other channels such as adigital wallet (optional step S312). At S314, the user may transactusing the new account at a resource provider using the digital accountcredentials without waiting for the authorizing entity computer to issuethe actual account credential and/or the physical account identificationdevice for the new account.

FIG. 3B illustrates steps 350 performed by the authorizing entitycomputer, the server computer and the user device during digital accountcredential issuance and activation. The authorizing entity computer 160may approve the user's request for a new account (S352). The authorizingentity computer may transmit information about the user (e.g. name,address, mobile phone number, set of security questions/answers (forcardholder validation as used by the authorizing entity computer),account restrictions (e.g. spending limits for financial accounts) and,where applicable, actual account credentials to the server computer 190.At S356, the server computer may generate the digital accountcredentials. At S358, the server computer may transmit the digitalaccount credentials to the authorizing entity. At S360, the servercomputer transmits (e.g. pushes) the digital account credentials to theuser device 120 of the user (e.g. account holder) of the new account.The digital account credentials may include a digital account identifier(e.g. digital PAN), an account validation code (e.g. dynamic CVV2), etc.

In some embodiments, the user may tokenize the digital accountcredentials using a tokenization server. For tokenized digital accounts,the user device may inform the server provider of the token provisioningstatus (S362). Upon receipt of tokenization information, the servercomputer may inform the authorizing entity computer of the tokenprovisioning status (S364).

Once the digital account credentials are provided to the account holder,the account holder may perform transactions using the digital accountcredentials.

FIG. 4A illustrates an exemplary flow chart 400 for transactionprocessing using the digital account credentials. According to anexemplary embodiment, the new account may be a financial account and thedigital account credentials generated by the server computer may includeone or more digital account identifiers (e.g. a digital PAN, a dynamicverification code dCVV2, a token representing the digital PAN). At S402,the user may provide the digital account credentials to a resourceprovider such as an e-commerce merchant or may present the digitalaccount credentials to a resource provider using a digital wallet. Insome embodiments, the user may enter the digital account credentials onan appropriate field provided on a website of an online resourceprovider. The resource provider may generate a transaction authorizationrequest message including the digital account credentials, and mayforward the transaction authorization request message to the transactionprocessing server (S404).

According to various embodiments, the server computer that generates thedigital account credentials and processing transaction using the digitalaccount credentials may be separate from the transaction processingserver. In some embodiments, the server computer may be managed by thesame entity managing the transaction processing server. In otherembodiments, the server computer may be managed by a third party entity.

The transaction processing server may forward the transactionauthorization request message to the server computer for authorization(S406). The server computer may process the transaction authorizationrequest message, determine whether the transaction is authorized ordeclined, and transmit the outcome of the decisioning (e.g. whether thetransaction is authorized or declined) to the transaction processingserver (S408). The transaction processing server then generates andtransmits a completion advice to the authorizing entity informing theauthorizing entity about whether the transaction is authorized ordeclined (S410). In some embodiments, the server computer may directlysend the completion advice to the authorizing entity informing theauthorizing entity about whether the transaction is authorized ordeclined. The transaction processing server may generate and transmit atransaction authorization response message including the decision of theserver computer to the resource provider (S412) to complete thetransaction.

FIG. 4B illustrates steps 450 performed by the authorizing entitycomputer, the server computer and the transaction processing serverduring transaction processing using the digital account credentials.According to an exemplary embodiment, the new account may be a financialaccount and the digital account credentials generated by the servercomputer may include one or more digital account identifiers (e.g. adigital PAN, a dynamic verification code dCVV2, a token representing thedigital PAN). Upon receiving a transaction authorization request, thetransaction processing server may check the format of the digitalaccount credentials included in the transaction authorization requestmessage. Upon identifying the digital account credentials, thetransaction processing server may determine that the transaction shouldbe processed by the server computer (S452). At S454, the transactionprocessing server may forward the transaction authorization requestmessage to the server computer for authorization. At S456, the servercomputer may process the transaction authorization request message,determine whether the transaction is authorized or declined. At S458,the server computer may transmit the authorization decision (e.g.whether the transaction is authorized or declined) to the transactionprocessing server. The transaction processing server may then send atransaction authorization response message to the transport computer tofinalize the transaction. The transaction processing server may alsosend a transaction advice to the authorizing entity notifying theauthorizing entity of the authorization decision (S462). The authorizingentity may store the transaction advice for statements, transactionhistory and/or clearing and settlement records (S464).

For financial transactions, a clearing and settlement process may alsobe performed. At S466, the server computer may transmit the settlementreport (e.g. settlement positions) to the transaction processing server.Alternatively or in addition to step S466, the authorizing entity mayalso transmit settlement report (generated based on the receivedtransaction advice(s)) to the transaction processing server at S468.

In some embodiments, the newly generated account may be an account withrestrictions. For example, the new account may be a prepaid or debitfinancial account. In such cases, the server computer may need toinquire about the account status (e.g. current available balance) beforedetermining whether a transaction initiated using the new account may beapproved.

FIG. 5A illustrates an exemplary flow chart 500 for transactionprocessing using the digital account credentials for an account withrestrictions such as a debit account. At S502, the user may provide thedigital account credentials to a resource provider such as an e-commercemerchant or may present the digital account credentials (e.g. a digitaltoken) to a resource provider using a digital wallet. In someembodiments, the user may enter the digital account credentials on anappropriate field provided on a website of an online resource provider.The resource provider may generate a transaction authorization requestmessage including the digital account credentials, and may transmit thetransaction authorization request message to the transaction processingserver (S504). The transaction processing server may forward thetransaction authorization request message to the server computer forauthorization (S506). The server computer may process the transactionauthorization request message, determine that the digital accountcredentials are associated with a debit account. The server computer maycontact the authorizing entity computer to inquire about the currentbalance of the debit account (S508). The authorizing entity computer mayreturn real-time account status information (e.g. balance information)to the server computer via, for example, a dedicated applicationprograming interface (API) hosted by the authorizing entity computer. Ifthe current balance of the debit account is greater than a value of thetransaction, the server computer may authorize the transaction. If thecurrent balance of the debit account is less than a value of thetransaction, the server computer may decline the transaction. The servercomputer may transmit the outcome of the decisioning (e.g. whether thetransaction is authorized or declined) to the transaction processingserver (S510). The transaction processing server may generate andtransmit a transaction authorization response message including thedecision of the server computer to the resource provider (S512) tocomplete the transaction. The server computer may generate and transmita completion advice to the authorizing entity informing the authorizingentity about whether the transaction is authorized or declined (S514).

FIG. 5B illustrates steps 550 performed by the authorizing entitycomputer, the server computer and the transaction processing serverduring transaction processing using the digital account credentials foran account with restrictions such as a debit account. At S552, thetransaction processing server may determine that a transaction should beprocessed by the server computer and transmit a transactionauthorization request message (received from a transport computer or aresource provider computer) to the server computer. The server computermay process the transaction authorization request message, determinethat the digital account credentials are associated with a debitaccount. The server computer may contact the authorizing entity computerto inquire about the current balance of the debit account (S554). Theauthorizing entity computer may return real-time balance information tothe server computer via, for example, a dedicated application programinginterface (API) hosted by the authorizing entity computer. At S556, theserver computer may determine whether the transaction should beauthorized or declined based on the real-time balance informationreceived from the authorizing entity. At S558, the server computer maytransmit the outcome of the decisioning (e.g. whether the transaction isauthorized or declined) to the transaction processing server. The servercomputer may generate and transmit a completion advice to theauthorizing entity informing the authorizing entity about whether thetransaction is authorized or declined (S560). The authorizing entity maystore the transaction advice for statements, transaction history and/orclearing and settlement records (S562).

For financial transactions, a clearing and settlement process may alsobe performed. At S564, the server computer may generate a settlementreport (e.g. settlement positions). At S566, the server computer maytransmit the settlement report to the authorizing entity. In someembodiments, the server computer may also transmit the settlement reportto the transaction processing server (S568). Alternatively or inaddition to step S568, the authorizing entity may also transmitsettlement report (generated based on the received transactionadvice(s)) to the transaction processing server at S570.

According to various embodiments, when the necessary procedures arecompleted, the authorizing entity computer may issue the physicalidentification device along with the actual account identifierassociated with the new account. Upon receipt of the physicalidentification device, the user may activate the physical identificationdevice along and/or the actual account identifier associated with thenew account. This act may automatically deactivate the digital accountcredentials issued by the server computer for the interim period (e.g.period starting with the new account being approved by the authorizingentity computer and ending with the user activating physicalidentification device and/or the actual account identifier associatedwith the new account).

FIG. 6A illustrates an exemplary flow chart 600 to activate the actualaccount identifier associated with the new account. The user may receivethe physical identification device and contact the authorizing entitycomputer (e.g. via phone, email, visiting an online website, text, etc.)to activate the actual account identifier associated with the newaccount (S602). The authorizing entity computer may notify the servercomputer of the device and/or the actual account identifier activation(S604). The server computer then deactivates the digital accountcredentials (S608). According to some embodiments, if the servercomputer tokenized the digital account credentials, the server computermay update the token server where the tokens are stored with thepermanent actual account identifier (S606).

FIG. 6B illustrates steps 650 performed by the authorizing entitycomputer, the server computer and the transaction processing serverduring activation of the actual account identifier associated with thenew account. The user may receive the physical identification device andcontact the authorizing entity computer (e.g. via phone, email, visitingan online website, text, etc.) to activate the actual account identifierassociated with the new account. Upon receiving the activation requestfrom the user, the authorizing entity computer may inform the servercomputer of the device and/or the actual account identifier activation(S652). The authorizing entity computer may also transmit the actualaccount identifier to the server computer. The server computer thendeactivates the digital account credentials (S654). The server computermay remove the digital account credentials from databases shared withthe transaction processing server and/or instruct the transactionprocessing server to remove the digital account credentials from storage(S656). According to some embodiments, if the server computer tokenizedthe digital account credentials, the server computer may update thetoken server where the tokens are stored with the permanent actualaccount identifier (S658). Tokens provisioned may then be mapped to thepermanent actual account identifier and the user would not need tore-provision the user device with the token. In some embodiments, theserver computer may notify the authorizing entity computer of thesuccess/failure of digital account deactivation.

If the user fails to activate the physical identification device and/orthe actual account identifier associated with the new account, theserver computer may continue to process transactions using the digitalaccount credentials. After a predetermined period, or upon beingnotified by the authorizing entity computer that the actual accountidentifier has been issued, the server computer may send periodicreminders to the user to activate the physical identification deviceand/or the actual account identifier associated with the new account. Insome embodiments, in absence of account activation, the server computermay impose restrictions on transactions that can be performed withdigital account credentials. For example, in case of financial accounts,the server computer may reduce spending limit of the account (used inconnection with the digital account credentials) by a firstpredetermined amount or percentage after a first predetermined amount oftime. The server computer may further reduce the limit by a secondpredetermined or percentage after a second predetermined amount of timepasses in addition to the first predetermined amount of time.

Embodiments of the invention have a number of advantages. As notedabove, embodiments of the invention can be used to issue digital accountcredentials for immediate transacting using a newly issued/generatedaccount. Conventionally, when an authorizing entity issues a new accountfor a user, the user does not have the ability to conduct transactionsusing the new account immediately upon issuance. Specifically, the user(i.e. the account holder) needs to first obtain a physical accountidentifying device and a permanent actual account identifier beforebeing able to use the account. Embodiments provide a server computerthat can issue digital account credentials for a newly generated accountand process transactions using the digital account credentials during aninterim period (e.g. period starting with the new account being approvedby the authorizing entity computer and ending with the user activatingphysical identification device and/or the actual account identifierassociated with the new account).

As described, the inventive service may involve implementing one or morefunctions, processes, operations or method steps. In some embodiments,the functions, processes, operations or method steps may be implementedas a result of the execution of a set of instructions or software codeby a suitably-programmed computing device, microprocessor, dataprocessor, or the like. The set of instructions or software code may bestored in a memory or other form of data storage element which isaccessed by the computing device, microprocessor, etc. In otherembodiments, the functions, processes, operations or method steps may beimplemented by firmware or a dedicated processor, integrated circuit,etc.

Any of the software components or functions described in thisapplication may be implemented as software code to be executed by aprocessor using any suitable computer language such as, for example,Java, C++ or Perl using, for example, conventional or object-orientedtechniques. The software code may be stored as a series of instructions,or commands on a computer-readable medium, such as a random accessmemory (RAM), a read-only memory (ROM), a magnetic medium such as ahard-drive or a floppy disk, or an optical medium such as a CD-ROM. Anysuch computer-readable medium may reside on or within a singlecomputational apparatus, and may be present on or within differentcomputational apparatuses within a system or network.

While certain exemplary embodiments have been described in detail andshown in the accompanying drawings, it is to be understood that suchembodiments are merely illustrative of and not intended to berestrictive of the broad invention, and that this invention is not to belimited to the specific arrangements and constructions shown anddescribed, since various other modifications may occur to those withordinary skill in the art.

As used herein, the use of “a”, “an” or “the” is intended to mean “atleast one”, unless specifically indicated to the contrary

What is claimed is:
 1. A method comprising: receiving, by a servercomputer from an authorizing entity computer, information about a newaccount authorized for generation; generating, by the server computer, adigital account credential identifying the new account; transmitting, bythe server computer, the digital account credential to user device of anaccount holder of the new account; receiving, by the server computer, atransaction authorization request message for a transaction initiatedusing the digital account credential; determining, by the servercomputer, that the transaction using the digital account credential isauthorized or denied prior to activation of an actual account credentiallinked to a physical account identification device associated with thenew account; generating, by the server computer, an authorizationdecision response message including determination that the transactionusing the digital account credential is authorized or denied; andtransmitting, by the server computer, a transaction advice message tothe authorizing entity computer including the determination that thetransaction using the digital account credential is authorized ordenied.
 2. The method of claim 1, wherein the digital account credentialautomatically expires upon activation of an actual account credentiallinked to a physical account identification device associated with thenew account.
 3. The method of claim 1, further comprising: receiving, bythe server computer from the authorizing entity computer, notificationregarding activation of an actual account credential linked to aphysical account identification device associated with the new account;and deactivating, by the server computer, the digital accountcredential.
 4. The method of claim 1, further comprising: generating, bythe server computer, a token associated with and representing thedigital account credential, wherein the token is provisioned on anelectronic wallet of the account holder.
 5. The method of claim 4,further comprising: receiving, by the server computer from theauthorizing entity computer, notification regarding activation of anactual account credential linked to a physical account identificationdevice associated with the new account; deactivating, by the servercomputer, the digital account credential; and updating, by the servercomputer, the token with the actual account credential.
 6. The method ofclaim 1, further comprising, upon receiving the transactionauthorization request message and prior to determining that thetransaction is authorized or denied: requesting, by the server computer,account status information associated with the new account from theauthorizing entity computer; receiving, by the server computer, theaccount status information associated with the new account from theauthorizing entity computer; and determining, by the server computer,that the transaction using the digital account credential is authorizedor denied based on the account status information received from theauthorizing entity computer.
 7. The method of claim 1, wherein theinformation about the new account includes one or more restrictionsassociated with the new account, and the method further comprises:determining, by the server computer, that the transaction using thedigital account credential is authorized or denied based on the one ormore restrictions associated with the new account.
 8. The method ofclaim 1, further comprising: deactivating, by the server computer, thedigital account credential after a predetermined amount of time.
 9. Themethod of claim 1, further comprising: limiting, by the server computer,use of the digital account credential by a predetermined criteria aftera predetermined amount of time.
 10. The method of claim 1, furthercomprising: transmitting, by the server computer, the authorizationdecision response message to a transaction processing server, whereinthe transaction processing server is configured to: generate atransaction authorization response message including determination thatthe transaction using the digital account credential is authorized ordenied, and transmit the transaction authorization response message to aresource provider, wherein the account holder conducts the transactionwith the resource provider.
 11. The method of claim 1, furthercomprising: in absence of activation of an actual account credentiallinked to a physical account identification device associated with thenew account after a first predetermined amount of time: reducing, by theserver computer, a spending limit of the new account using the digitalaccount credential by a first predetermined amount; and in absence ofactivation of the actual account credential linked to the physicalaccount identification device associated with the new account after asecond predetermined amount of time in addition to the firstpredetermined amount of time: further reducing, by the server computer,the spending limit of the new account using the digital accountcredential by a second predetermined amount.
 12. A server computercomprising: a processor; and a memory storing non-transitory executableinstructions that, when executed by the processor, cause the processorto: receive, from an authorizing entity computer, information about anew account authorized for generation; generate a digital accountcredential identifying the new account; transmit the digital accountcredential to user device of an account holder of the new account;receive, from a resource provider, a transaction authorization requestmessage for a transaction using the digital account credential;determine that the transaction using the digital account credential isauthorized or denied prior to activation of an actual account credentiallinked to a physical account identification device associated with thenew account; generate an authorization decision response messageincluding determination that the transaction using the digital accountcredential is authorized or denied; and transmit a transaction advicemessage to the authorizing entity computer including the determinationthat the transaction using the digital account credential is authorizedor denied.
 13. The server computer of claim 12, wherein the digitalaccount credential automatically expires upon activation of an actualaccount credential linked to a physical account identification deviceassociated with the new account.
 14. The server computer of claim 12,wherein the instructions, when executed by the processor, further causethe processor to: receive, from the authorizing entity computer,notification regarding activation of an actual account credential linkedto a physical account identification device associated with the newaccount; and deactivate the digital account credential.
 15. The servercomputer of claim 12 wherein the instructions, when executed by theprocessor, further cause the processor to: generate token associatedwith and representing the digital account credential, wherein the tokenis provisioned on an electronic wallet of the account holder.
 16. Theserver computer of claim 15, wherein the instructions, when executed bythe processor, further cause the processor to: receive, from theauthorizing entity computer, notification regarding activation of anactual account credential linked to a physical account identificationdevice associated with the new account; deactivate the digital accountcredential; and update the token with the actual account credential. 17.The server computer of claim 12, wherein the instructions, when executedby the processor, further cause the processor to, upon receiving thetransaction authorization request message and prior to determining thatthe transaction is authorized or denied: request account statusinformation associated with the new account from the authorizing entitycomputer; receive the account status information associated with the newaccount from the authorizing entity computer; and determine that thetransaction using the digital account credential is authorized or deniedbased on the account status information received from the authorizingentity computer.
 18. The server computer of claim 12, wherein theinformation about the new account includes one or more restrictionsassociated with the new account, and wherein the instructions, whenexecuted by the processor, further cause the processor to: determinethat the transaction using the digital account credential is authorizedor denied based on the one or more restrictions associated with the newaccount.
 19. The server computer of claim 12, wherein the instructions,when executed by the processor, further cause the processor to:deactivate the digital account credential after a predetermined amountof time.
 20. The server computer of claim 12, wherein the instructions,when executed by the processor, further cause the processor to: limituse of the digital account credential by a predetermined criteria aftera predetermined amount of time.
 21. The server computer of claim 12,wherein the instructions, when executed by the processor, further causethe processor to: transmit the authorization decision response messageto a transaction processing server, wherein the transaction processingserver is configured to: generate a transaction authorization responsemessage including determination that the transaction using the digitalaccount credential is authorized or denied, and transmit the transactionauthorization response message to a resource provider, wherein theaccount holder conducts the transaction with the resource provider.